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Show UP&L decreases power costs about 3.7 percent in March Electricity prices at Utah Power have been cut a dozen times in the past four years. The latest decrease, effective March 10, is $23 million, or about 3.7 percent. Since January 1988, Utah Power's prices have decreased in Utah 21.5 percent-about $140 million. That means typical residential residen-tial customers in Utah are paying about $100 less per year for elec-I elec-I tricity than they did five years ago. In fact, prices for Utah residential customers are the same as they were in 1982. "The benefits of the merger and the hard work of our employees in cutting costs have made a significant signifi-cant contribution to the economies of the communities we serve," said Verl Topham, Utah Power president. presi-dent. "This trend of declining prices is solid evidence of our commitment to serve these communities com-munities in the best ways we know how. ' A ruling by the Utah Public Service Ser-vice Commission outlines how the current decrease will be applied to various kinds of Utah Power customers, based on hearings in January. The company and utility regulators have structured this 'spread" of rates to reflect more closely what it actually costs the company to provide service. Residential customers receive a 4.35 percent decrease-more than $20 per year for households using about 560 kilowatt-hours monthly. Large commercial customers receive a 5.36 percent decrease. Lower prices for these customers translate to benefits for the economy generally. As their costs are lowered, the prices of goods and services can be lower. Large industrial customers receive a 3.67 percent decrease, which will help these customers hold down operating costs, translating to more competitive operations for them, and greater security for their employees. Some small commercial customers will see a three percent increase resulting from this order. This is based on the desire of regulators and the company to have prices reflect true costs of service as much as possible. It's also the first time rates have increased for these customers since 1984. Their electricity elec-tricity prices are still eight percent lower than they were five years ago. Utah Power is a division of Paci-fiCorp., Paci-fiCorp., which provides electricity and related energy services to 1.2 million customers in seven Western states. When Utah Power and Paci-fiCorp Paci-fiCorp merged in 1989, the new company agreed to reduce Utah prices at least five percent in the five years following the merger. |